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CAIRO COMMUNICATIONS SPA (CAI.MI) Stock Fundamental Analysis

BIT:CAI - Euronext Milan - IT0004329733 - Common Stock - Currency: EUR

2.818  -0.01 (-0.25%)

Fundamental Rating

5

We assign a fundamental rating of 5 out of 10 to CAI. CAI was compared to 62 industry peers in the Media industry. CAI has an average financial health and profitability rating. CAI has a bad growth rate and is valued cheaply.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

In the past year CAI was profitable.
CAI had a positive operating cash flow in the past year.
In the past 5 years CAI has always been profitable.
Each year in the past 5 years CAI had a positive operating cash flow.
CAI.MI Yearly Net Income VS EBIT VS OCF VS FCFCAI.MI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M

1.2 Ratios

CAI has a Return On Assets (2.18%) which is comparable to the rest of the industry.
With a Return On Equity value of 6.92%, CAI perfoms like the industry average, outperforming 51.61% of the companies in the same industry.
CAI's Return On Invested Capital of 6.04% is in line compared to the rest of the industry. CAI outperforms 53.23% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CAI is below the industry average of 8.15%.
The last Return On Invested Capital (6.04%) for CAI is above the 3 year average (5.40%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 2.18%
ROE 6.92%
ROIC 6.04%
ROA(3y)2.14%
ROA(5y)2.03%
ROE(3y)7%
ROE(5y)6.89%
ROIC(3y)5.4%
ROIC(5y)5.14%
CAI.MI Yearly ROA, ROE, ROICCAI.MI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2 4 6 8 10

1.3 Margins

Looking at the Profit Margin, with a value of 2.70%, CAI is in line with its industry, outperforming 50.00% of the companies in the same industry.
In the last couple of years the Profit Margin of CAI has grown nicely.
CAI's Operating Margin of 6.98% is in line compared to the rest of the industry. CAI outperforms 53.23% of its industry peers.
CAI's Operating Margin has improved in the last couple of years.
CAI has a better Gross Margin (71.57%) than 72.58% of its industry peers.
CAI's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 6.98%
PM (TTM) 2.7%
GM 71.57%
OM growth 3Y1.56%
OM growth 5Y2.61%
PM growth 3Y-2.92%
PM growth 5Y3.71%
GM growth 3Y-0.01%
GM growth 5Y-0.93%
CAI.MI Yearly Profit, Operating, Gross MarginsCAI.MI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60 80

4

2. Health

2.1 Basic Checks

CAI has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
CAI has about the same amout of shares outstanding than it did 1 year ago.
CAI has about the same amout of shares outstanding than it did 5 years ago.
CAI has a better debt/assets ratio than last year.
CAI.MI Yearly Shares OutstandingCAI.MI Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M 100M
CAI.MI Yearly Total Debt VS Total AssetsCAI.MI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B

2.2 Solvency

CAI has an Altman-Z score of 1.43. This is a bad value and indicates that CAI is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.43, CAI is in line with its industry, outperforming 46.77% of the companies in the same industry.
CAI has a debt to FCF ratio of 2.53. This is a good value and a sign of high solvency as CAI would need 2.53 years to pay back of all of its debts.
CAI's Debt to FCF ratio of 2.53 is fine compared to the rest of the industry. CAI outperforms 74.19% of its industry peers.
A Debt/Equity ratio of 0.30 indicates that CAI is not too dependend on debt financing.
The Debt to Equity ratio of CAI (0.30) is better than 66.13% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.3
Debt/FCF 2.53
Altman-Z 1.43
ROIC/WACC0.91
WACC6.65%
CAI.MI Yearly LT Debt VS Equity VS FCFCAI.MI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M 500M

2.3 Liquidity

A Current Ratio of 0.96 indicates that CAI may have some problems paying its short term obligations.
The Current ratio of CAI (0.96) is comparable to the rest of the industry.
CAI has a Quick Ratio of 0.96. This is a bad value and indicates that CAI is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.93, CAI is in line with its industry, outperforming 50.00% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.96
Quick Ratio 0.93
CAI.MI Yearly Current Assets VS Current LiabilitesCAI.MI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M

2

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 26.19% over the past year.
The Earnings Per Share has been growing slightly by 1.43% on average over the past years.
CAI shows a decrease in Revenue. In the last year, the revenue decreased by -1.00%.
The Revenue has been decreasing by -2.20% on average over the past years.
EPS 1Y (TTM)26.19%
EPS 3Y-3.94%
EPS 5Y1.43%
EPS Q2Q%-4.7%
Revenue 1Y (TTM)-1%
Revenue growth 3Y-1.05%
Revenue growth 5Y-2.2%
Sales Q2Q%-0.14%

3.2 Future

CAI is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.48% yearly.
Based on estimates for the next years, CAI will show a decrease in Revenue. The Revenue will decrease by -1.55% on average per year.
EPS Next Y-2.94%
EPS Next 2Y-1.48%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-2.08%
Revenue Next 2Y-1.55%
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
CAI.MI Yearly Revenue VS EstimatesCAI.MI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 200M 400M 600M 800M 1B
CAI.MI Yearly EPS VS EstimatesCAI.MI Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.1 0.2 0.3

7

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 9.72, the valuation of CAI can be described as reasonable.
CAI's Price/Earnings ratio is a bit cheaper when compared to the industry. CAI is cheaper than 79.03% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.29, CAI is valued rather cheaply.
CAI is valuated reasonably with a Price/Forward Earnings ratio of 8.45.
Based on the Price/Forward Earnings ratio, CAI is valued a bit cheaper than 74.19% of the companies in the same industry.
CAI's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.74.
Industry RankSector Rank
PE 9.72
Fwd PE 8.45
CAI.MI Price Earnings VS Forward Price EarningsCAI.MI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, CAI is valued cheaply inside the industry as 93.55% of the companies are valued more expensively.
CAI's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CAI is cheaper than 87.10% of the companies in the same industry.
Industry RankSector Rank
P/FCF 4.51
EV/EBITDA 2.84
CAI.MI Per share dataCAI.MI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 2 -2 4 6 8 10

4.3 Compensation for Growth

CAI has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)6.78
EPS Next 2Y-1.48%
EPS Next 3YN/A

6

5. Dividend

5.1 Amount

CAI has a Yearly Dividend Yield of 5.69%, which is a nice return.
Compared to an average industry Dividend Yield of 5.44, CAI pays a better dividend. On top of this CAI pays more dividend than 82.26% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.37, CAI pays a better dividend.
Industry RankSector Rank
Dividend Yield 5.69%

5.2 History

The dividend of CAI is nicely growing with an annual growth rate of 21.85%!
Dividend Growth(5Y)21.85%
Div Incr Years0
Div Non Decr Years0

5.3 Sustainability

90.91% of the earnings are spent on dividend by CAI. This is not a sustainable payout ratio.
CAI's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP90.91%
EPS Next 2Y-1.48%
EPS Next 3YN/A
CAI.MI Yearly Income VS Free CF VS DividendCAI.MI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M 100M
CAI.MI Dividend Payout.CAI.MI Dividend Payout, showing the Payout Ratio.CAI.MI Dividend Payout.PayoutRetained Earnings

CAIRO COMMUNICATIONS SPA

BIT:CAI (7/8/2025, 9:40:28 AM)

2.818

-0.01 (-0.25%)

Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)05-12 2025-05-12
Earnings (Next)08-01 2025-08-01
Inst Owners8.98%
Inst Owner ChangeN/A
Ins Owners51.48%
Ins Owner ChangeN/A
Market Cap378.80M
Analysts84
Price Target3.37 (19.59%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 5.69%
Yearly Dividend0.27
Dividend Growth(5Y)21.85%
DP90.91%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)22.22%
PT rev (3m)22.22%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
Industry RankSector Rank
PE 9.72
Fwd PE 8.45
P/S 0.26
P/FCF 4.51
P/OCF 3.16
P/B 0.66
P/tB N/A
EV/EBITDA 2.84
EPS(TTM)0.29
EY10.29%
EPS(NY)0.33
Fwd EY11.83%
FCF(TTM)0.62
FCFY22.15%
OCF(TTM)0.89
OCFY31.68%
SpS10.92
BVpS4.26
TBVpS-3.06
PEG (NY)N/A
PEG (5Y)6.78
Profitability
Industry RankSector Rank
ROA 2.18%
ROE 6.92%
ROCE 7.74%
ROIC 6.04%
ROICexc 6.45%
ROICexgc 31.21%
OM 6.98%
PM (TTM) 2.7%
GM 71.57%
FCFM 5.72%
ROA(3y)2.14%
ROA(5y)2.03%
ROE(3y)7%
ROE(5y)6.89%
ROIC(3y)5.4%
ROIC(5y)5.14%
ROICexc(3y)5.69%
ROICexc(5y)5.5%
ROICexgc(3y)28.8%
ROICexgc(5y)30.92%
ROCE(3y)6.92%
ROCE(5y)6.59%
ROICexcg growth 3Y-9.32%
ROICexcg growth 5Y-1.86%
ROICexc growth 3Y-1.33%
ROICexc growth 5Y0%
OM growth 3Y1.56%
OM growth 5Y2.61%
PM growth 3Y-2.92%
PM growth 5Y3.71%
GM growth 3Y-0.01%
GM growth 5Y-0.93%
F-Score6
Asset Turnover0.81
Health
Industry RankSector Rank
Debt/Equity 0.3
Debt/FCF 2.53
Debt/EBITDA 0.95
Cap/Depr 46.94%
Cap/Sales 2.46%
Interest Coverage 10.14
Cash Conversion 66.93%
Profit Quality 211.87%
Current Ratio 0.96
Quick Ratio 0.93
Altman-Z 1.43
F-Score6
WACC6.65%
ROIC/WACC0.91
Cap/Depr(3y)75.43%
Cap/Depr(5y)61.61%
Cap/Sales(3y)5.26%
Cap/Sales(5y)4.26%
Profit Quality(3y)132.72%
Profit Quality(5y)215.11%
High Growth Momentum
Growth
EPS 1Y (TTM)26.19%
EPS 3Y-3.94%
EPS 5Y1.43%
EPS Q2Q%-4.7%
EPS Next Y-2.94%
EPS Next 2Y-1.48%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-1%
Revenue growth 3Y-1.05%
Revenue growth 5Y-2.2%
Sales Q2Q%-0.14%
Revenue Next Year-2.08%
Revenue Next 2Y-1.55%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y34.91%
EBIT growth 3Y0.5%
EBIT growth 5Y0.35%
EBIT Next Year87.25%
EBIT Next 3Y22.61%
EBIT Next 5YN/A
FCF growth 1Y23.2%
FCF growth 3Y-13.31%
FCF growth 5Y-4.15%
OCF growth 1Y12.46%
OCF growth 3Y-9.13%
OCF growth 5Y-1.93%